Here's a -mid-month recap of quotes, activity and some updates to resources:
There's less than two weeks until the Nov '21 Case Shiller home price index contracts expire. Bid/ask spreads have been narrowing over the last few days, as I, and third parties, tweak quotes. Every morning there seems to be a 0.2 better bid or offer in selected contracts. Recall that at these price levels, several of the quotes have bid/ask of < 1%. Thanks to all who have helped.
I'm open to trade any of these either outright, one versa another, or in calendar spreads versus Feb '22 (G22), the next contract.
There have been 21 lots traded this month. Not enough for much institutional interest, but an improvement over past months, and headed in the right direction. There have been trades in five regions (HCI, DEN, NYM, SDG and SFR) as well as in four expirations (ranging from X21 to G23).
There is OI (open interest) in all regions, but activity has been very quiet in CHI, LAV and WDC. Any help to get something started in those three regions would be appreciated.
Separately, I've updated the Resources page on my website. I've updated snapshots of all the regional contracts as of mid-November (see Chicago as example):
I've also posted quotes on HPHF Ratio Agreements for selected Case Shiller cities that are not referenced by CME contrast. Here's Atlanta:
Note that I also offer HPHF Ratio Agreements referencing Freddie Mac home price indices for cities that do not have a public Case Shiller index. DM tor details, an example.
I had updated the Options page on Nov 9th, in response to two inquiries. Most requests are from put buyers, which is why I posted offers, but I'd be happy to talk to either put writers, or people looking for other regions/ expirations.
I continue to tweet (from @HomePriceHedges) OTC quotes on a Paris (France) home price index. I also have readers looking to hedge Dublin, Prague and Toronto.
Finally, I removed Schwab from the list of FCMs (Brokers) that cleared Case Shiller futures, after learning from another reader that they would no longer support the contracts. Is anybody using anyone other that Insignia and IronBeam. My $100 reward for introductions to new brokers still stands.
Feel free to contact me if you have any questions about this blog, the updates on the Resources page, or have any trading ideas that you'd like to explore.
Thanks, John